Data show that a Litecoin-Whale pulled $32 million in LTC from Binance, a sign that could bode well for the recent rally.
Litecoin Whale takes $32 million worth of LTC from Binance
According to data from crypto transaction tracker service Whale Alert, a massive LTC transfer has taken place over the past day. In total, the transaction involved the movement of LTC 425,660 on the Blockchain valued at approximately $32.1 million at the time of transmission.
Usually, such large transfers are a sign of whale activity, and due to the sheer size of the coins typically associated with them, the movements can sometimes have a visible impact on Litecoin’s price.
However, how the price reacts to a transfer depends on the intention behind it. Here are a few additional details regarding the recent whale transaction that might shed some light on its purpose:
It looks like this massive transfer only needed a negligible fee of 0.00000224 LTC to be possible | Source: Whale Alert
As seen above, this Litecoin transaction was conducted by a Wallet affiliated with the Binance crypto exchange and their destination was an unknown wallet. An unknown address is any address that is not connected to a known centralized platform and is therefore likely to belong to a personal wallet.
Transfers of this type, where coins move from exchanges to personal wallets, are known as exchange outflows, and since holders usually withdraw from these platforms for accumulation purposes, outflows can have a positive impact on the price.
Here, the stock market outflow was made by a whale, which could mean that this huge investor is planning to hold its Litecoin for a longer period of time. In the few days since the start of the new year, LTC has already reclaimed $75 in partnership with the coin, so the whale not selling here to take advantage of this profitable opportunity, opting instead to accumulate, is the investor’s conviction suggests there is more to come for LTC.
Recently, there was another bullish signal for Litecoin as well, and that was monthly LTC transactions on BitPay, the largest crypto payment processor, up 109% over the past year. This means that the network has seen strong growth in terms of adoption, a sign that should bode well for the price in the long run.
In just one year, monthly Litecoin usage increased by 109% with the world’s largest crypto processor 🚀 pic.twitter.com/DBXe6OTdib
— Litecoin (@litecoin) January 2, 2023
At the time of writing, Litecoin is trading around $75, up 8% over the past week.
The value of the crypto seems to have risen sharply over the past few days | Source: LTCUSD on TradingView Featured image by Rémi Boudousquié on Unsplash.com, chart by TradingView.com
Source: Crypto News Deutsch